tv Lou Dobbs Tonight FOX Business November 14, 2012 7:00pm-8:00pm EST
from wall street actions during super storms in the continue. cftc commissioner. that's it for tonight. thank you for joining us. have a great night. we will see right back here tomorrow evening. ♪ lou: good evening, everybody. after two months on the successful bid for reelection, president obama stepped up to take responsibility for sending his ambassador to the united nations. susan rice out to the fund it -- sunday talk-show host five days after benghazi and four false statements about the cause of those attacks. the president holding his first press conference in front of the white house press corps since march 6th book, and he made a lot of news in doing so. president obama admitted the erroneous statements delivered by rice on five talk shows five days after four americans were killed in an gauzy were at his
order, and one of the most defiant tone as we have heard, obama defended rice and invited congress and his critics to come after him instead of her. >> she made an appearance at the request of the white house in which she gave her best understanding of the intelligence that have been provided to her. and senator mccain and gramm and others want to go after somebody , they should go after me. when they go after the u.n. ambassador apparently because they think she is an easy target and have a problem with me. lou: the administration blamed in gauzy on the flash mobs and cited the video on youtube. it was revealed not only there had been no demonstration, no
mob, and no right, but all involved knew that it was a terrorist attack by a group with ties to al qaeda, obviously carried out in a well coordinated, preplanned manner. the administration blamed the response on faulty information from night intelligence community. today the president once again placed the responsibility broadly on his national security team. here is the president explaining what is initial orders were when he found out that americans were in danger in benghazi. >> i can tell you that immediately upon finding out that our folks were in danger that my orders to my national security team work, do whatever we need to do to make sure they're safe. that is the same order would give any time that i see americans in danger, whether civilian or military because that is our number one priority. lou: for whatever reason the number one priority did not create any kind of action,
nothing was done despite for requests for help, cia operatives on the ground during the 7-hour siege despite military support approximately two hours away at a naval air station in italy, and no explanation offered by the president today. disgraced former cia chief may shed light on who knew what and when and why for americans are -- for left today. he voluntarily agreed to testify after initially telling friends she would not. no date has been agreed to as of now. will the petraeus country to september 14th testimony in which sheik blamed benghazi on the anti muslim video and put the present at the center of a massive cover-up? we take all that appeared tonight with pulitzer prize-winning journalist your e miller, former ambassador to the united nations, john bolton , middle east affairs analyst -- doctor wally to paris
. the president also withheld judgment about the federal investigation that cost patraeus his job but tonight national security was compromised. >> i have no evidence at this point from what i have seen that classified information was disclosed that in any way would have had an impact on our national security. lou: concerning questions on whether the petraeus story should have come up before the presidential election, president obama said the fbi has its own protocols on how they proceed. for more on all of this, the "a-team". let me start with you. the idea that susan rice somehow comes across in the president's
statements today as being a puppet without a mind of her own or any individual responsibility as an envoy of the president or representatives of the u.s. government. >> this is a woman who clearly would like to replace secretary of state hillary clinton in that job. no shrinking. she was perfectly able to defend herself. i'm sure she was speaking off the set of talking points. the question is, one of the many questions, did she know when she was speaking that there was contradictory and permission? lou: and it is -- i'm not sure that it is unfair to say that the president and his entire national security team, if you will, are hiding behind the skirts of ambassador rice. >> well, i think the president gave away the game here when he also said in his exasperation with senator mccain that susan rice did not know anything about what happened at benghazi, thus
proving the brilliance of the white house strategy at the time their effort was to get past the election, to minimize what actually happened. but -- what better way than to send out susan rice who knows nothing? she can't possibly make a mistake. she can't possibly reveal information inadvertently? think of the risk of putting hillary clinton out there who actually knew what happened. lou: that raises the question, where was the secretary of state? where was the head of the national security council? where was the national security adviser? where was david petraeus for crying out loud? >> you know, what general petraeus would say in congress is going to be very important because there is one major question, a lot of the answers of your not kidding, what was the assessment of the obama administration of the area where there consular was? there's a big difference. if this was an area as secure as iceland or waziristan.
time confident that there were cables that said there are ten training centers for militias around that location. so i would like to know if the administration basically perceived the location is dangerous there for what were the measures and therefore when the attack occurred, the kind of response would be appropriate to the type of assessment. that is what we want to know. >> chairman of the house securities committee is very direct saying the documents that we see that the cia had prior to general petraeus coming in, it is impossible to believe he thought he was giving as at the time on his testimony, testimony supporting what became the brought fiction of an inch and a video. congressman king is saying point
blank. he believes that petraeus was under the thumb of the administration, coerced and blackmail and a statement. >> i think i no general petraeus pretty well. i covered him in 2003 and stayed in touch with them. i find that absolutely impossible to believe. it is just not the man i know who would go to the u.s. congress and lighted them to toe the administration line because he was under pressure from an investigation. lou: you're putting in out of context. i have to ask you this. is the man you know kimmel of having an affair and exposing his entire agency for which he is responsible to an immense vulnerability compromising national security for an affair. >> there is no indication that national security was compromised or was even jeopardized by this, and i think that all people are human and general patraeus is human also
and is entitled to a mistake. it was a question for me, and i think the president's been 24 hours thinking about it, as to whether or not you could afford to lose a man like general patraeus. lou: you join me on the issue of values. i think every man and woman is entitled to their private values and decisions of their lives, and i certainly would not judge anyone. i will judge the head of the cia who has not got this sense and judgment and the sense of responsibility to his organization to compromise himself and his office. that is, to me, inexcusable. god bless general patraeus, but not as the head of the agency that is so important in protecting this nation. your view to. >> i think congressman king's theory is that -- has the possibility of being true, but i
would not overemphasize it. i would not concentrate everything, i will call the black military. there are two separate and distinct issues so far. one, the ministrations of a failure before, during, and after the attack. number two, the question of what general petraeus was actually doing. there may be a connection. there may not be. whether there is are not should not distract from finding out really what happened in petraeus and with -- in benghazi and the general petraeus. those two issues have to go on. lou: do you agree? >> i do agree with ambassador bolton. the real question regardless of the outcome of the situation with the two generals is very simple. was there a threat in the area? and me, where the militias? with a threatening the compound? yes. actually, there was a sentence
that said, we are surrounded by malicious but don't know their intention. that is telling us about the doctrine of the administration. if the demonstration did not consider those militias as threatening, their for the measures where they were. we should focus on this point. lou: i can be rather dismissive of it because we know that they attacked a british ambassador in june -- july. they attacked the red cross. both the british and red cross left eastern libya immediately forthwith, and the united states and its ambassador who sought additional protection of all of that on the record to the state department, the cia, and to all involved in determining how secure that counsel would be. we will be back. we are not letting them go just yet. there's too much to assess. join us here later on national
security in the political implications of the petraeus scandal and, of course, benghazi . european nations already on the wrong side of the fiscal cliff. the president says america can steer clear. >> i believe. and confident it can be done. i don't expect the republicans simply to cut up my budget. the recognize that were going to have to compromise. compromise is hard. lou: more than a trillion and a half in tax hikes, no spending cuts. what's the deal? that's tonight's chalk talk. with leaders descending on the white house to persuade the president to be pro-business, the ceo of a restaurant chain carl's jr. and hardy's does not think the president is listening. next. it's a new day.
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will a second term be more friendly to corporate america? carl's jr. and hardee's ceo giving us his perspective here in just a moment. in the moneyline tonight, president obama made it clear that the fiscal cliff could be avoided if he gets more taxpayer money. and investors choking on the president's words. investors reacting to that declaration by accelerating a sell-off in stocks as the president's talked. by the close the dollar plunged 185 points. s&p had lost 19, nasdaq down 37. in active trading, volume off to 4 billion shares today. of the past six trading sessions since the president won reelection. the dow has fallen 6705. it lost 5%. that is as steep sell-off cents a year ago. the dow is now down more than 1,000 points from its high of the year said back on
october 5th. a correction under way. makes news on the economy today. inflation at the wholesale level dropping back at the unexpected two tenths of a percent. not so welcomed the decline in retail sales. wall street analysts saying the drop was the impact of superstore sandy in consumer uncertainty about the weak economy and the prospect of a steep dive off the fiscal clef. a wave of strikes and protest against government austerity programs in europe sweeping across spain, portugal, and greece today. labor unions have called those protests and other than as the largest since the start of the will or recession of 2008. but many economists say it will likely have no political impact says union members have become an increasingly small minority of european workers. the convent overall is suffering from purchased fatigued. the country can avoid its own
fiscal cliff, with the only solution is to raise taxes on americans and businesses earning over $250,000 per year. a group of top ceos, they were encouraged. my next guest says raising tax rates will stifle business growth and cost jobs. good to have you with us. >> good to be here. lou: this president wants new taxes. that is a heck of an initial bargaining position. >> the president talks about tax rates. he wants tax rate increases, and the converse that into dollars. the real question is can you raise tax revenue? the only way we will raise a teeseven of revenue is private sector growth, and you're not going-private sector growth of your tongue the private sector you will raise their taxes, raise their health care costs, raise their energy ost and
raise their labor cost. people are going to invest. you will find the kind of job creation you need. american businesses want this president to succeed. the one him to succeed because his success is tied to my success. conversely, his success is tied to the success american business. there ought to be some common ground. i'm just not seeing it. lou: what do you think of the idea that a dozen ceos show about the white house to talk big with the big guy, but small business that creates most of the jobs in this country not represented. these cuts represent a fraction of our economy. they have a major, major portion of the lobbying efforts and the pressure that is applied in washington. what is your reaction? >> these are good people, smart people, intelligent. but you really have to look at how rare motivated differently than small businesses would be.
these large businesses can be the subject of government actions. it's easy to kind of select them, move them out. they can be subject to attack. they also are sometimes subsidized. i have to worry about subsidies, and that may have government contracts. small businesses aren't concerned with those things. small-business can make a much better case to the president as to what needs to be done in this economy to create jobs. what would it take for small businesses, businessman women to create jobs and grow the economy? he just is to ask. i think he would get a very consistent answer. he does need to keep talking to the same high-level executives that he has been talking to. tony's to get down into levels and talk to small businessmen women lou: let's you and i get to some brass tacks. we are talking about raising the top rate. we're being dragged along. talking about almost 40 percent, raising the top rate to about
40%. we already see the top 2 percent paying about 50 percent of all texas. i don't know what the impact would be, but i do have the sneaking suspicion that the president is not aware that the fact is, individual tax payments to this government have risen by 25 percent under the bush tax rates over the past two years. and the real answer is staring him and everybody else in the face. that is, growth. >> yes. private-sector growth is the only way of this. the government has done everything it could possibly do. 800 million in stimulus, interest rates in zero, printing money and it is going in a style. the government has done what it can do. many the private sector. that tax rate, you're not adding in the obama increase in petrol taxes. it's over 40 percent. that it's all businesses, subchapter s corporations,
elsie's. the larger corporation, the corporate tax rate goes down. that makes them feel good. the businesses that will be hit by these tax increases are the very small and midsize businesses that create jobs same people that get hit with obamacare, the energy increases, and a labor cost increases. lou: what if i told you that it makes some sense. give him at the margin what he wants on taxes. whether that's on investment tax , camping deductions. basically what mitt romney was proposing. get that done. then say what you going to do? you going to still be left if you roll all of that up. you will still be left with a huge deficit. it's going to have to mean cutting the federal budget. >> even if we increase the tax rates, the top 1 percent in this
country makes seven timbers of the income. 37 percent of the taxes. so a fair share argument really is it -- lou: you're getting a again start out here. your last shot. >> mr. president, please, please work with the business community. we want you to succeed, but you're putting impediments in our way and make impossible. we want you to succeed and we want to succeed. please work with us. lou: thank you for being with us. up next former cia director patraeus agreeing to testify. can we believe anything the ds to say? admiral james lyons has a few thoughts. president obama searching for a solution to solve our debt problem. let's see how it works out. is it in his favor? it will take a look. next by the numbers. ve lately.
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♪ lou: well, the president wants to raise taxes by over one half trillion. that is his opening gambit, initial bargaining position on the fiscal cliff. he wants to do that over the next decade. this is the kind of math i like. that works out to 160 million per year in taxes. republicans howling about it, but are they wrong to be so upset? let's take a look of some members. earlier this year the president unveiled a three. eight -- i love this. we talk about these numbers that there is nothing to them. he forecasts a 1.3 trillion
dollar deficit. so that means, if i can figure this out, to a half trillion dollars to work with. $901 billion next year. our national debt is now over $16 trillion. everybody knows that. and the president's big plan, he wants 16 trillion in the taxes. here is how he wants to get there. he wants to raise 849 billion over ten years by allowing the bush tax cuts, there they go, away on the very first of december of this year. it will expire without call to of households with incomes one and 250,000. hundred 49 billion includes 206 billion in higher taxes and
dividends. 123 billion on limiting itemized deductions. higher taxes on capital gains. the white house wants to raise another $584 billion over ten years, 584 billion of that over ten years by reducing the value of certain tax breaks, cutting tax breaks with his charitable contributions, mortgage payments. that might have an impact on the housing industry. that should give everybody a little excited. something good going here, as the saying goes in the housing industry. let's squash that. the rest of the president's money would come from several places, let's get serious for a moment. that breaks down to $160 billion each year. that still leaves a hole of
$840 billion if we want to balance the budget. the president's -- here looking at a $1 trillion deficit. president likes to demonize the bush tax cuts. he won't tell you this, but i will. the tax revenue is already increasing to the federal government under the bush rates. in fact, individual income tax payments have risen $2,303,000,000,000 over the course of the past two years, up 26%, 26%. by the way, raising the marginal tax rates is a sure recipe for recession and even bigger deficits according to the congressional budget office. that was in part of this news conference. so far it has not been part of
the discussion. don't you think it ought to be? the president's first is conference in almost nine months, still no answers on benghazi, no clear policy on the least. the "a-team" coming back. the president told russia he would be very flexible after the election. [inaudible] lou: well, we're there. now the president has the flexibility and then the travel destination. we will have those for you next. that petraeus sex scandal worsens by the day. did our top spy but classified information and risk? is it just a coincidence that the white house waited until after the election? admiral james lyons joins us
♪ lou: general petraeus agreeing to testify on the benghazi attack, and he will do so in front of the house intelligence committee. he will be doing so behind closed doors as we now understand how that system will go. the question is, in part, as his credibility been compromised following the scandal that led to his resignation? by next guest says the scandal is a political cover and deception. joining us now, admiral james lyons, a retired commander of the u.s. pacific fleet. good to have you back with us. >> nice to be here. loo: the first question. that is, has his credibility been compromised to the point that he can be of very little to congress? >> well, i think, first of all,
the hearing should be open. and to really get to the bottom of what went on in the katie consulate and live the ambassador had to be there, we should grant him amnesty. we need to get to the bottom of what really went on. as you said, the sex scandal is nothing more than political cover and deception to divert tte american public's attention from what really went on in that benghazi consulate and white the ambassador had to be there that night. lou: just to understand, who created this deception, this distraction? >> well, in my judgment this had been known for a number of months. the timing of when it was made public. it certainly becomes very suspicious.
lou: in quick order, the release of the timeline put forward by the cia. and that's going to be explored for some time. but going to your point about why the ambassador was in benghazi the day in the night that he was killed, give us a sense of what you think is behind all that? >> look. here is the ambassador who feared for his safety. we have this 16 august message from the consulate which said, this place can't be defended. we have the bloom on security manager who sent something wrong he put out an alert in the afternoon of the 11th over both radius and his cellphone. something is wrong. he gets on a plane and it's out of benghazi. three hours before the attack we
have the terrorist group setting of the roadblocks and checkpoints that that turkish consul general had to pass through for his meeting with the ambassador. nobody can tell me that that turkish consul general did not say all of this to embassador stevens. the alarm should have one off. what i think what happened was a terrible mistake on the terrorist group. i speculate that ambassador stevens was supposed to be kidnapped, held hostage in exchange for the release of the blind to shake, that is currently being held in prison. that is the only thing that makes sense to me. otherwise he never would have stayed there that night.
lou: do you believe then that he was doing so voluntarily, willingly, knowing they? being put forward, if you will, as trading? >> well, that's what's going to have to come on the hearings. and the only way we're going to get to the bottom of the, would probably have to have a special prosecutor, and we certainly have to have general patraeus testifying openly and with granted immunity. lou: very quickly, out of time. fascinating listening to your mind work. the president said on the night of the attack his orders were to his national security team to do ever is necessary to save american lives. your reaction. >> well, that to happen. very quickly we didn't use the resources we have in theater.
you had that hundred and 30 man marine force three gun team. they weren't used. f-16 aircraft which could have been there in an hour-and-a-half . we had the pentagon timeline that said that they stood up to marine counter terrorist teams, but the first team took 23 hours to go 800 miles to get to tripoli. i can go around the world in 23 hours. the second team was never sent because they said all the americans were out of the consulate. that makes no sense. we left it open. we should have been secured. this is u.s. territory. that prevented the fbi from getting in there for over three weeks. when the fbi did get there they did a lousy job by leaving have the documents that were left they're scattered around.
>> it is always worth while listening to you, and we appreciated. come back soon. up next. lou: romney lost the election. political foes. and coming up tomorrow here, house oversight committee member republican congressman, new york times best selling author, for the unofficial among my guests. stay with us. the "a-team" returns. i'm a conservative investor.
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president ridiculed it as a sketchy deal. not so sketchy anymore. are the india of, well, taking a look at the tax expenditures and adjusting a few write offs and deductions. russian state media, apparently the source to turn to these days reporting president obama will be visiting russia after being invited by russian president vladimir kitchen. reportedly extended the invitation during a call to congratulate the president on his reelection. the date is not been agreed to. the white house has not confirmed the trip, so until then we are hitting the president's travel itinerary from the kremlin. up next to my general patraeus agrees to testify before congress behind closed doors. he spends a lot of time behind closed doors. igniting speculation he would contradict the white house. the "a-team" returns in just one moment. next.
♪ lou: we are back with the "a-team," and we're going to continue to focus and include what admiral lions had to speculate about the purpose for ambassador stephens being in benghazi on september 11th. we are joined again by pulitzer prize-winning journalist, fox is triggered from the former u.s. ambassador to the united nations, fox middle east affairs analyst. i want to add, if i may, take a look at this video. israel today retaliated against her mom's for their attacks against a particular southern israel.
what you're watching is ahead of hamas being taken out. killed in that attack. and this video showing the devastation that resulted in the effectiveness of the israeli response. john bolton, are you surprised and do you believe this is a proportionate response to what has been, and we should include, a strike against 20 sites as well. d.c. this as proportionate and, perhaps by a foundation for further military action by the israelis? >> i do, and it shows real-time intelligence and good name besides. look, this has been forecast for some time. israel has given several warnings. it's not going to put up with the increase in violence coming out of the gaza strip to be a lot of people have referred back operation cassolette in 2008. let's not forget, israel feels threatened, both from gaza and on its northern border given the
increasing anarchy inside syria and the potential the spillover into lebanon and across israel's border. much like the squeeze they felt in 2006. i think we're entering into a time of real danger and potential hostilities on both sides of the israeli border. lou: your thoughts. >> the brigade, the commander of which was killed by the israelis , are really the strategic army of hamas. my concern is that hamas has to a strategic alliances, one basically with the muslim brotherhood now in charge of egypt, but more importantly with the iranian regime. hamas is escalating against the israelis was prompted their response to put pressure on israel and divert the attention from syria. that is the way to get out of the syrian complex situation. this is a challenge to the administration. what would you do if israel takes out the hamas military leader?
it's a big question. lou: and a question that we're going to turn to judy miller for the answer when we come back. is this a strategic response that will drive straight at the heart of the iranians and put in jeopardy their strategy in the region? how much danger kuwait's all of us as a result? back with the "a-team" in just moments. look, if you have copd like me,
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. lou: the decision of made not, not to save those americans, your reaction? >> look, the center of the whole affair, basically is why was this a decision in some shape or form for forces in libya and around not to intervene in defense of the compound, knowing in first hour, reports were there the compound was attacked by heavy weaponry it is very basic. what gave the orders for the units that the admiral was talking about not to get in time to engage the enemy, whatever the consequences are. >> president said he gave orders to do whatever needed to be done
to protect the people there. well, what happened? where is the nen comp at the prt confidence issue? did they not get the memo? or did they not follow out that order. lou: are we in agreement that hearing with petraeus should be open to the american people. ambassador very quickly? your thought. >> yes, absolutely. >> absolutely, no question. lou: i'm a journalist. >> i am in favor of transparency. lou: so too this administration, we were led to believe, thank thank you all. >> now time for your comments, tom said, what an embarrassing news conference today, did they serve the kool aid before they started? karen tweeted, i